Saudi Arabia - joining the dots

A series of blog entries exploring Saudi Arabia's role in the oil markets with a brief look at the history of the royal family and politics that dictate and influence the Kingdom's oil policy

Sunday, 29 June 2014

ISIS: Sectarian furies unleashed again

The recent events in Iraq is a continuation of a rift between Sunni and Shias that began over a thousand years ago Shias believed Ali, the son-in-law of the Prophet Muhammad should take over the leadership upon his death Sunnis believed the Muslim community should determine the new leadership by consensus Ali became the new leader, but upon his assassination in 661, war broke out between the two groups Islamic terrorism once seemed to wear...

Tuesday, 24 June 2014

Ivar Aasen crib sheet

Contains 4 fields: Ivar Aasen, West Cable, Hanz, Asha PDO approved in March 2013 Development costs relatively high Discovery of Asha in December 2012, and inclusion of Asha in development improves economics Edvard Greig and Johan Sverdrup could push cost of services market higher Ivar Aasen expected to receive transitional terms , whereas other fields will be taxed under new terms Participation Ivar Aasen Area contains...

Thursday, 5 June 2014

Eagle Ford Shale

Intro and historyPlay in South Texas stretching into Louisiana; contributes c.10% towards US productionThree “windows” to the play – oil, gas-condensate, dry gas; focus has been on development of the liquids sectionEagle Ford formation not singled out until 2008 although routinely tested before thenInitial production was gas/condensates by Petrohawk with Apache testing oil around the same timeBig change in 2010: EOG acquired acreage in oil window, changing Eagle Ford into a liquids focused playWell economicsProduction and reservoir...

Tuesday, 3 June 2014

Bakken

Intro and historySpans western North Dakota, eastern Montana in US and parts of Saskatchewan and Manitoba in CanadaNamed after Montana farmland owner Henry BakkenRecoverable estimates continue to increase as more about the play is understoodFirst production in 1951, after which, formation began to be mappedIn mid-90s, Elm Coulee field discovered with significant oil accumulation in the middle Bakken memberIn mid-2000s, EOG drilled the Nelson Farms 1-24H well; demonstrated H-wells with fracture stimulation could produce high IPsIn...